Kibosh tax credit for lawmakers

April 27, 2004

Lawmakers better take a serious look, especially in these days of deficit spending, at the federal tax break that only they themselves enjoy.

Most Michigan lawmakers are eligible for a federal tax credit that could save them an average of $8,000 to $10,000 a year. The Lansing State Journal reported that 133 of the state's 147 representatives and senators can write off a big piece of their federal income tax, just for showing up to work, through a provision created in 1981 as part of the Economic Recovery Tax Act.

Lawmakers who live at least 50 miles from the Capitol are allowed to write off up to $150 from their federal taxes for every day they're in session. This year's daily write-off was $108 per day per lawmaker.

The tax credit saves eligible lawmakers between $8,000 and $10,000 a year on average. Lawmakers earn about $79,650.

Lawmakers don't have to submit receipts for the federal tax break and can count weekends and non-session days during weeks the Legislature is in session.

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In Michigan, representatives were eligible for $20,844 write-offs; senators $24,084.

It gets even more maddening, if you're just a regular Joe. In addition, legislators who live 50 miles or more away from the Capitol receive $12,000 in annual state travel per diem that isn't taxed.

It should come as no surprise that Congress gave itself, and only itself, this huge tax perk. And thousands of lawmakers all over the country take advantage of it, you can be sure.

No one can say it's a fair tax benefit, but you can bet everyone would like to have it. Wouldn't you?

Politicians are constantly bemoaning the taxpaying public's negative perception of lawmakers, or crying foul when the media delivers a story painting politicians in an unfavorable light.

With stories like this one, is there any doubt the politicians invite such opinions and coverage?

This break is too expensive to offer the general public, and politicians deserve no special favors. This law must me repealed. Short of that, we expect any representative or senator who claims to speak for us to pay his or her FAIR share of taxes. They need to lead by example.